When registered as both contractor and subcontractor .....

We are a VAT registered limited company, and the sole director/employee is registered as both contractor and subcontractor. When acting as the contractor using subcontractors, we deduct the appropriate tax on their labour and forward it on to HMRC.

I’m sorry if this sounds a bit confusing but would appreciate clarification in the following senario.

If we are ourselves subcontracting to a construction company but also using subcontract labour that we are paying ourselves, when separating out the labour element of our invoice so that the construction company can deduct for CIS tax, do we only account for the labour relating to our company employee, as the tax for any subcontractors we might have used would have been deducted by us when we paid them. If we showed the total cost of all of the labour used and the construction company deducted tax from that figure, then HMRC would be getting the tax in respect of our subcontractors twice because we would already have taken the tax from them when we paid them.

Also, if we sent only our subcontractors to work on the job (but it was still us paying them), would we still have to separate out their labour when we invoice the construction company, as again we would have already deducted the subbies tax when we paid them.

Thanks.